hedge-fund-maze

While the S&P 500 rewarded investors with a 32.4% return in 2013, hedge funds investors got 9.8%, says Business Insider.

Read: Despite a proven edge, women are rarely hedge fund managers

Most of the underperformance is from short positions the funds held, says BI. Had the funds stuck only with long-term positions, they would have returned 41%.

Even the average mutual fund, with a return of 31.6%, outstripped hedges, which can be riskier for hedges.

Read more here.

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Originally published on Advisor.ca

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